2. The process of reviewing performance
• Informal reviews are the process by which performance is
managed throughout the year. Performance is reviewed as it
occurs by the individual as well as the manager, comparing
what happened with what should have happened.
• Whenever appropriate, managers meet individual members
of their teams to provide feedback, initiate coaching or other
learning activities, and agree on revised goals or any
corrective action required.
• The outcome of such meetings may not be formally
documented unless action to deal with poor performance
through a capability procedure is invoked.
3. • Formal reviews are meetings in which performance is
analyzed more systematically. They include an overview and
analysis of performance since the last review, comparing
results with agreed expectations and plans.
• Formal reviews are usually documented on paper or
recorded on a computer.
• They can provide the basis for decisions on performance
pay, promotion, inclusion in talent management development
programs, training, performance and development plans,
and action to deal with poor performance (although the latter
is best carried out at the time rather than waiting for an
annual review).
• All this happens on a one-to-one basis – a get-together of
the manager and the individual. This should be a
conversation involving dialogue and joint analysis of
performance.
4. The performance review process should:
• have clear aims and measurable success criteria;
• be designed and implemented with appropriate employee
involvement;
• have its effective use core to all managers’ performance
goals;
• allow employees a clear ‘line of sight’ between their
performance goals and those of the organization; focus on
clarity and performance improvement;
• be closely allied to a clear and adequately resourced training
and development infrastructure;
• make crystal clear the purpose of any direct link to reward
and build in proper equity and transparency standards;
• be regularly and openly reviewed against its success criteria.
5. The formal performance review
meeting
• The formal performance review meeting is the means through
which the five primary performance management elements of
agreement, measurement, feedback, reinforcement and dialogue
can be put to good use.
• Individuals should be encouraged to assess their own performance
and become active agents for change in developing that
performance. Managers should be encouraged to adopt their
proper enabling role: coaching and providing support and guidance.
• There should be no surprises in a formal review if performance
issues have been dealt with as they should have been – as they
arise during the year.
• This process also helps managers to improve their ability to lead,
guide and develop the individuals and teams for whom they are
responsible.
6. • It can be argued that formal reviews are
unnecessary and that it is better to conduct informal
reviews as part of normal good management
practice to be carried out as and when required.
• Such informal reviews are valuable as part of the
continuing process of performance management
(managing performance throughout the year).
• But annual or half-yearly review sums up the
conclusions reached at earlier reviews and provides
a firm foundation for a new performance agreement
and a framework for reviewing performance
informally, whenever appropriate.
7. Problems with formal performance reviews
In traditional merit rating or performance appraisal schemes the
annual appraisal meeting was the key event – in fact, in most
cases the only event – in the system.
Three main sources of difficulty in conducting performance
reviews were identified:
• the quality of the relationship between the manager and the
individual – unless there is mutual trust and understanding the
perception of both parties may be that the performance review
is a daunting experience in which hostility and resistance are
likely to emerge;
• the manner and the skill with which the interview is conducted;
• the review process itself – its purpose, methodology and
documentation.
8. Preparing for formal review meetings
• The extent to which detailed preparation is needed
will vary according to the type of review. More care
would need to be taken for a formal annual review,
and the approach suggested below is aimed at such
occasions. But the same principles would apply,
though less formally, to interim reviews.
Preparation should be concerned with:
• the purpose and points to be covered at the meeting;
• what evidence on performance the manager should
get ready for the meeting;
• what the individual should do in the way of self-
assessment.
9. Self-assessment
• Self-assessment is a process in which individuals
review their own performance, using a structured
approach, as the basis for discussions with their
managers in review meetings.
• Self-assessment involves analyzing performance and
identifying successes and any problems in achieving
goals. Individuals may attribute any problems to lack
of skill or experience and should be encouraged to be
specific so that a personal development plan can be
prepared.
• The structure for self-assessment can be provided by
a self-assessment check list that is given to
individuals before the review meeting.
10. Conducting a formal performance
review meeting
• Be prepared. Managers should prepare by referring
to a list of agreed goals and their notes on
performance throughout the year. They should form
views about the reasons for success or failure and
decide where to give praise, which performance
problems should be mentioned and what steps might
be undertaken to overcome them. Individuals should
also prepare in order to identify achievements and
problems.
• Work to a clear structure. The meeting should be
planned to cover all the points identified during
preparation.
• Create the right atmosphere.
• Provide good feedback.
11. Conducting a formal performance
review meeting
• Use time productively. Time should be allowed for the
individual to express his or her views fully and to respond
to any comments made by the manager.
• Use praise. If possible, managers should begin with
praise for some specific achievement, but this should be
sincere and deserved.
• Let individuals do most of the talking. Use open-ended
questions
• Invite self-assessment
• Discuss performance not personality
12. Conducting a formal performance
review meeting
• Encourage analysis of performance – Analyze
jointly and objectively why things went well or
badly and what can be done to maintain a high
standard or to avoid problems in the future.
• Don’t deliver unexpected criticisms
• Agree measurable objectives and a plan of action
– the aim should be to end the review meeting on
a positive note.
